They sold a basin and kept the two that pay
Ovintiv (TSX: OVV) reported second-quarter 2026 results on July 23. Volumes averaged 615,000 boe/d: 206,000 barrels a day of oil and condensate, 82,000 barrels of other NGLs, and 1,959 MMcf/d of gas. Oil and condensate cleared the top of guidance. Cash from operations was $1.6 billion. Non-GAAP free cash flow was $682 million after $574 million of capital. Net earnings were $456 million, or $1.62 a share, after a $337 million pretax loss on the Anadarko sale. That sale brought about $2.82 billion cash after closing adjustments. Net debt was $2.995 billion, or 0.6 times adjusted EBITDA. Liquidity was about $4.4 billion, including $700 million of cash.
Full-year production is now 630,000 to 645,000 boe/d. Oil and condensate is 210,000 to 212,000 barrels a day. Gas is 2,025 to 2,075 MMcf/d. Capital is unchanged at $2.25 to $2.35 billion. CEO Brendan McCracken said the company replaced 2026 drilling locations in both the Permian and the Montney and wants 4 percent oil production per share growth with no extra spend. Second-quarter returns were about $429 million, 63 percent of free cash flow: $345 million of buybacks (6.1 million shares) and $84 million of dividends. The board set $0.30 a share, payable September 29.
Permian is the oil. Montney is the gas stack
Permian averaged 231,000 boe/d, 78 percent liquids, with 38 net wells turned in line. Full-year Permian capital is $1.325 to $1.375 billion, about five rigs and 125 to 135 net wells. Second-half oil and condensate there is about 125,000 barrels a day. Montney averaged 374,000 boe/d, 27 percent liquids, with 40 net wells. Full-year Montney capital is $875 to $925 million, about six rigs and 130 to 140 net wells. Second-half Montney gas is 1.7 to 1.8 Bcf/d. Unhedged realizations were $97.50 a barrel for oil and condensate (105 percent of WTI) and $1.71 per Mcf for gas (59 percent of NYMEX). Hedged, those were $91.22 and $1.99.
Neutral read
OVV is on the listed producer list. The Anadarko cash and the oil-guide raise are the checkable facts. Capital did not go up. Most of the gas is still Montney, so AECO and NYMEX basis still matter even if the headline is oil per share. Do not write a 4 percent growth story as a new shale boom. Watch whether second-half Permian actually holds 125,000 barrels a day and whether Montney gas at 1.7 Bcf/d clears at a price that is not leftover AECO.